On August 31,

2021,

Becky

Tuttle

borrowed

$2,000

from

Darwin

State Bank.

Tuttle

signed a note payable, promising to pay the bank principal plus interest on August 31,

2022.

The interest rate on the note is

12%.

The accounting year of

Darwin

State Bank ends on June 30,

2022.

Journalize

Darwin

State Bank's (a) lending money on the note receivable at August 31,

2021,

(b) accrual of interest at June 30,

2022,

and (c) collection of principal and interest at August 31,

2022,

the maturity date of the note.

Journalize

Darwin

State Bank's (a) lending money on the note receivable at August 31,

2021,

(b) accrual of interest at June 30,

2022,

and (c) collection of principal and interest at August 31,

2022,

the maturity date of the note. (Record debits first, then credits. Exclude explanations from any journal entries.)(a) Prepare the journal entry for the issuance of the note receivable on August 31,

2021.

Journal Entry
Date		Accounts	Debit	Credit
2021
Aug	31

(b) Prepare the journal entry to record the accrual of interest at June 30,

2022.

Journal Entry
Date		Accounts	Debit	Credit
2022
Jun	30

(c) Prepare the journal entry to record the collection of the note principal and interest at August 31,

2022,

the maturity date of the note.

Journal Entry
Date		Accounts	Debit	Credit
2022
Aug	31